Summary:Microsoft makes it official:
The company is now a devices and services company. Unfortunately, that
transition away from high margin software licenses may be rocky.

Ms CEO Bob Ballmer made it official: The organization is moving its design to pay attention to gadgets and solutions ahead of the Ms windows 8 release. The value of this move can't be understated: Windows update will do or die the organization.

Ballmer said in a investor letter:

Last season in this page I said that over time, the full value of our application will be seen and sensed in how people use gadgets and solutions at perform and in their individual life. This is a significant move, both in what we do and how we see ourselves — as a gadgets and solutions organization. It effects how we run the organization, how we create new encounters, and how we take products to promote for both customers and businesses. The perform we have achieved in the past season and the map in front of us delivers this to life.Wait!?! Ms doesn't see itself as a application organization when most of its income comes from permits. Can this be?

Ballmer said Ms windows 8 will be a device and solutions play---and appears to be almost like Amazon. We works with a wide environment of associates to provide a wide variety of Ms windows PCs, pills and mobile phone devices. We do this because our clients want excellent choices and we believe there is no way one size matches over 1.3 billion dollars Ms windows customers around the world. There will be times when we build particular gadgets for particular requirements, as we have selected to do with Console and the lately declared Ms Surface. In all our perform with associates and on our own gadgets, we will concentrate often on providing wonderful, smooth encounters across components, application and solutions.

An excellent example of this move is Ms windows 8. Ms windows 8 will come to promote Oct. 26, 2012, with wonderful components that will mild up with our customer reasoning solutions. Ms windows 8 combines the mild, slim and fun factors of a product with the power of a PC. It's wonderful, it's efficient, and it's perfect for both individual and professional use. Console Music, Video, Games and SmartGlass applications create it possible to select a film from a PC, start playing it on the TV, and complete viewing it on a phone. SkyDrive, our reasoning storage solution, easily joins content across a customer's gadgets. Bing's highly effective search technology in Ms windows 8 will help clients get more done. Skype has a wonderful new Ms windows 8 app and joins straight into the new Workplace.

Microsoft also said it will take this solutions and gadgets strategy for the business.

Let's give Ms items for its extreme move. Ms windows 8, gadgets and solutions rebuilding the organization's design completely. Unfortunately, gadgets and solutions can be lower edge efforts. The main point here is application makes more money. Products hit or skip. Ms windows improvements are generally no-brainers. It's the same for Workplace.